Which one of the following statements is not true?
A) As interest rates increase,bond prices increase.
B) Interest rate changes and bond prices are inversely related.
C) Interest rate risk is the risk that bond prices will change as interest rates change.
D) Long-term bonds are more price volatile than short-term bonds of similar risk.
Correct Answer:
Verified
Q49: Coupon payments are:
A)the regular interest payments received
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Q59: The yield to maturity (YTM)is:
A)the bond's internal
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